TFIGlobal
TFIGlobal
TFIPOST English
TFIPOST हिन्दी
No Result
View All Result
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
TFIGlobal
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
No Result
View All Result
TFIGlobal
TFIGlobal
No Result
View All Result
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean

Why did the EU-China investment deal fall off after such a promising start?

Abhyoday Sisodia by Abhyoday Sisodia
May 28, 2021
in Europe
Why did the EU-China investment deal fall off after such a promising start?

(PC Bloomberg)

Share on FacebookShare on X

It is said that there are no rights and wrongs in international diplomacy, and it is a very turbulent domain as different participants find themselves in positions of domination or vulnerability at different times which leads to the changing dynamics of negotiations during discussion and deliberation. The European Parliament has voted to freeze discussions on an investment deal with China until Beijing removes the retaliatory sanctions it imposed on EU officials, diplomats, academics, and researchers in March.

The motion stalls a deal that was agreed to much fanfare by top EU and Chinese leaders in December. The Comprehensive Agreement on Investment (CAI) needs the parliament’s blessing before it becomes law, but members voted not to even consider this while the sanctions remain in place. During the time of the Trump administration and especially during the last moments, China feared excessive actions by the USA and thus in its desperation agreed to go for a more European Union friendly investment deal. However, as soon as Joe Biden took office as the US President, the Chinese Communist Party thought that it was in a stronger position to make the deal more favourable to itself and employed the infamous wolf warrior diplomacy for ensuring the same.

Also Read

China Cuts Off Key Tech to Russia — Putin’s Weapons Production Set to Suffer

G7 pledges strict sanctions on Russian oil buyers, putting China and India under scrutiny, as the group aims to cripple Moscow’s revenues and tighten pressure over the Ukraine war.

US DOUBLES DOWN Missile Production to prepare for war with China: Reports.

The one new thing that happened in the foreign policy structure of the Chinese Communist Party was the introduction of the wolf warrior diplomacy, as part of which the diplomats and representatives of China in different countries used all types of verbal intimidations to those whose views were not in line with what is acceptable to Beijing. However, after almost more than a year of free run, it seems the European Union has had enough of this.

Read more: China’s wolf warrior diplomacy backfires spectacularly in Europe as the EU votes against the investment deal

A joint motion which was later seen by the South China Morning Post dated May 18, was supported by all major parties, including the European People’s Party (EPP), a centre-right, a pro-business grouping which had previously been on the fence about rejecting the deal. The text shows the rejection of the Comprehensive Agreement on Investment (CAI) as part of a broad package of resolutions aimed at hitting back at China on human rights and political issues.

The motion says “any discussion on ratification by the European Parliament, have justifiably been frozen because the Chinese sanctions are in place”, adding that Beijing must “lift the sanctions before dealing with CAI, without prejudice to the final outcome of the CAI ratification process”

The European Union has observed that they have an upper hand now and will get the most of pushing the Chinese Communist Party to toe its line. It also recognises that the USA has been pushing against the deal, and agreeing to the deal without a clear decisive upper hand will be counterproductive given China does not plan to honour the deal, and will use wolf warrior diplomacy anyway. Thus, the EU has decided to pursue alternative destinations more seriously. For example, the obvious alternative to China is India. Its embrace of the Indian option in the post Pandemic world is the most apparent signal for the same.

Tags: ChinaComprehensive Agreement on InvestmentEU
ShareTweetSend
Abhyoday Sisodia

Abhyoday Sisodia

M.A. in East Asian Studies, Department of East Asian Studies, the University of Delhi, India. Deep interest in geopolitics, foreign policy and world affairs.

Also Read

Poland's refusal to extradite the Ukrainian suspect in the Nord Stream pipeline sabotage case investigation raises the question of European unity. Was Russia correct?

 Poland’s refusal to extradite the Ukrainian suspect in the Nord Stream pipeline sabotage case investigation raises the question of European unity. Was Russia correct?

October 8, 2025
Germany's AfD chief Alice Weidel: "The planned EU-wide 'chat control' is an absolutely totalitarian project. It means the de facto abolition of digital privacy". She wants a strong Europe without unelected Ursula von der Leyen and without EU dictatorship. 

Germany AfD Leader Alice Weidel’s Fiery Stand Against EU’s ‘Chat Control’: A Battle for Privacy and Sovereignty in Europe without EU dictatorship. 

October 8, 2025
 The pro-EU Party won in Romania and Moldova, but not the protests, while Mass Protests Shake Georgia after a pro-Russian party Wins Municipal Elections. Here Why? 

 The pro-EU Party won in Romania and Moldova, but not the protests, while Mass Protests Shake Georgia after a pro-Russian party Wins Municipal Elections. Here Why? 

October 7, 2025
AfD leader Alice Weidel wants a strong Europe without unelected Ursula von der Leyen and without EU dictatorship. From the Czech Republic, France, to Germany, Political Earthquake Shakes Europe: The Rise of the Right-Wing Tide defying the EU

From the Czech Republic, France, to Germany, Political Earthquake Shakes Europe: The Rise of the Right-Wing Tide wants Europe without unelected Ursula von der Leyen and without EU dictatorship

October 7, 2025
Ex-German Chancellor Angela Merkel Blames Poland and Baltic States for Escalating Putin’s War in Ukraine

Ex-German Chancellor Angela Merkel Blames Poland and Baltic States for Escalating Putin’s War in Ukraine

October 6, 2025
France in Crisis: PM Sébastien Lecornu’s Shock Resignation within 24 hours after unveiling his cabinet Deepens Macron’s Political Turmoil

France in Crisis: PM Sébastien Lecornu’s Shock Resignation within 24 hours after unveiling his cabinet Deepens Macron’s Political Turmoil

October 6, 2025
Youtube Twitter Facebook
TFIGlobalTFIGlobal
Right Arm. Round the World. FAST.
  • About Us
  • Contact Us
  • TFIPOST – English
  • TFIPOST हिन्दी
  • Careers
  • Brand Partnerships
  • Terms of use
  • Privacy Policy

©2025 - TFI MEDIA PRIVATE LIMITED

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
TFIPOST English
TFIPOST हिन्दी

©2025 - TFI MEDIA PRIVATE LIMITED

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. View our Privacy and Cookie Policy.